All Forum Posts by: Bob Langworthy

@Liz Faircloth, some of the healthcare sharing programs require that you not drink alcohol.

@Liz Faircloth, I have many clients that use healthcare sharing programs and love them. You will need to file Form 8965 with your 1040, but that's no big deal. The savings from these plans are significant, but be sure to read the fine print. You may need to be a teetotaler to qualify.

Hope this helps,

Quick update: we are going to hold on to this property through the winter and find a buyer in the Spring. We tamed the lawn and it looks pretty decent now. I'll post more as plans unfold.

@Terry Calvin, there are many answers to the first question. In addition to the two you mentioned, you might want to consider investing in notes or wholesaleing. Those options will both give you exposure to real estate, but could do so with less cash invested.

Regarding your question of a SFH or duplex, that's tough to answer without knowing more. If you don't currently own a home, then many of us would recommend buying a duplex or a triplex and living in one of the units. It's what I will recommend that my kids do when they graduate from college.

Hope this helps,

@Bryan Young, in addition to tax advice, you should seek legal advice. Most attorneys will advise a separate entity for the real estate. Can your plumbing company own real estate? Yes, but talk to an attorney. Bear in mind that if you do buy real estate, you can not deduct the purchase price as an expense. You would have to depreciate the building over 39 years. Land is not depreciated. In my case, I bought a 4 office building with an LLC in my wife's name and my accounting practice (a separate entity) is the anchor tenant.

If you are looking for tax deductions, here are some thoughts:

1) Talk to your accountant about the Section 199A deduction. It's claimed on your 1040 and can be up to 20% of your qualified business income.

2) If there is a piece of equipment or a vehicle that you need, now would be the time to buy it.

3) Retirement plans? A SEP IRA allows you to invest the lesser of $55,000 or 25% of your income.

Congratulations on a good year,

@Mike Jacobson, this is very inspiring! We would like to do something like this in Maine. We don't have as many lakes as you, but there are a lot of opportunities here. Thanks for sharing your deal!

Best,

@Ryan Pierce, welcome to BP and the world of real estate investing! Here's a couple of answers and a couple ideas:

1) One way to get started is to get a good job, live on next to nothing, save like crazy, and then buy your first investment. @Scott Trench writes about this and talks about it on his podcast.

2) Wholesaleing is an option for someone without much cash. Find deals and flip them to other buyers. More about that in the forums.

3) Being young makes you very valuable to potential mentors. You know social media and can leverage it to benefit a potential mentor. Offer services for free for a period of time in exchange for mentoring.

4) @Brandon Turner wrote a book on investing with low or no money now. I haven't read it, but I'm sure it would contain some good ideas for you.

Hope this helps,

@Brian Mitchell, thanks again for hosting a great meeting last night! Looking forward to time with the family this month and finding that next deal!

Best,

@David Pugh, what you refer to as "profit" in your second post is your cash flow. And yes, the IRS only cares about the net income of $1000 in the example you gave. That's the beauty of real estate: tax free cash flow.

Hope this helps,